Despite announcing yet another stellar quarter, Apple (NASDAQ: AAPL) stock lost about 2.5% last week, opening Monday at $132.31 and closing Friday at $128.95. Share prices still hit an all time high of $134.46 on Tuesday during some of the heaviest trading of the year (volume was 118,924,000).

The Q2 FY 2015 earnings call came on Monday after the bell. Apple announced 61.17 million iPhone sales and a quarterly revenue of $58 billion for a net profit of $13.6 billion, up from $10.2B in the year ago quarter. Mac sales were up 10% year-over-year while iPad disappointed again, with a 23% YOY decline.

The Board of Directors approved an 11% dividend increase and a $0.52 per share dividend payable on May 14th. They also approved an increase in Apple's stock buy back program of $50 billion, bringing the total budget for repurchasing shares to $140 billion.

Apple's Q2 numbers and encouraging Q3 guidance prompted several investment firms to raise their target prices. Some of the more notable increases came from Brean Capital (raised to $170 per share from $160), RBC Capital ($150 from $142), Morgan Stanley ($166 from $160) and Wells Fargo ($125 - $135 from $120 - $130).

Although iPad sales fell again, the device still dominates the category. According to IDC's research, the iPad continues to hold the majority market share, with 32.7%.

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Apple's latest App Store Distribution data update was posted last Wednesday and shows that about 81% of Apple mobile devices have adopted iOS 8. 17% are still on iOS 7 while 2% are using an earlier iOS.

It has been rumored for months now that Apple is working on its own streaming TV product and has been in negotiations with content providers to do so. Although Apple has not commented on the project, Time Warner CEO Jeff Bewkes, during his own company's earnings report last Wednesday, remarked that he was "pretty confident" that Apple would soon be launching an Internet streaming TV service. He added, "We think Apple is very forward-thinking about television... It's no surprise to anyone that Apple would be interested in launching a TV product."

In addition to a streaming TV service, Apple is also rumored to be working on a streaming music service. Apparently they have been poaching talent from BBC , including four key producers.

It was revealed through filings with the Securities and Exchange Commission last week that Apple has again increased its research and development budget. According to its 10-K, Apple increased its R&D spending by $500 million in Q2, up to $1.9 billion, a year-over-year increase of 36%.